If you’ve been watching what’s happening in the cryptospace, you’ve definitely not missed the epic growth of Ethereum, which recently broke through its ATH of $4,200. In two weeks, it basically quadrupled its value, which is a very impressive growth. Let’s see if this growth can continue.
Why it matters
The crypto market has spread rapidly in recent weeks under the leadership of Ethereum and other smaller cryptocurrencies, despite the fact that Bitcoin was still under $60,000. However, ETH far outstripped the largest cryptocurrency, and does not appear to be stopping. On April 27, JPMorgan published a report explaining why ETH is thus overcoming itself and adding 6 reasons that this trend will continue.
Ethereum is an entire digital platform that allows you to create many other altcoins. Bitcoin is just a token without an ecosystem. The European Investment Bank used the Ethereum blockchain last week to issue € 100 million in digital banknotes. Ethereum and DeFi are closely related, the sharp growth of NFT also increases the use of ETH and NFT is a hit this year. Ethereum 2.0 is expected by the end of 2022, as well as a much more energy-efficient blockchain. This could divert investors’ attention from BTC to ETH.
ETFs have been launched during this year and all have so far been held in April. The EIP1559 protocol will be introduced in the summer, the aim of which is to increase the predictability of transaction fees on the blockchain. Ethereum derives its value from its applications, this includes DeFi, games, NFT and much more. As a result, it appears to be less sensitive to higher real returns than, for example, Bitcoin.
What it could mean
It is true that the ETH cryptocurrency has many uses and advantages, and it must be added that its origins were like the ICO in 2017, now it has made its creator a billionaire. Due to the possibilities of use, which are constantly expanding, it is quite possible that the price will continue to rise.
What you can do
If you are still thinking that you would like to join the crypto world and want to learn more about the possibilities that await you there, do not hesitate to study with our Platon Trading Academy, where you will learn everything you need and especially how to get started.